Soccer elite can’t afford Belgian taxes

By Peter Chapman

Date: 04/12/03

THE body that represents Europe's richest football clubs is considering ditching its Brussels HQ, because it claims the Belgian authorities are charging it too much tax.

Thomas Kurth, general manager of the G14 group, whose members include Manchester United, AC Milan and Barcelona, said running the office, opened just over a year ago, had proved a financial headache.

He said consultants advised him that G14 would almost certainly qualify for tax breaks, in exchange for setting up its base in Brussels.

Kurth, a Swiss national who lives in Barcelona, and his Monaco-born communications manager Geneviève Berti, had expected expatriate tax rates, reflecting their international status, and days spent travelling outside Belgium. But since the office opened, Kurth says the authorities have refused to play ball.

"Our evaluation of Brussels is not very favourable," said Kurth. "Fiscal conditions are about the worse we could find.

"We regret very much that this is the case, because we have chosen Brussels for what it means - it is the capital of Europe, the residence of the Commission. We wanted to develop this proximity and our predisposition to be in a position to cooperate."

He said the G14 still hoped to thrash out a deal with the taxman, but admitted the group might be forced to move its main operations elsewhere, keeping only a token presence in Brussels.

He said G14's club bosses are "responsible businessmen" who "don't want to accept a bad business solution", adding: "They have asked me to look for a more appropriate solution - so we are looking at one."

The G14 group which represents Europe's richest football clubs may leave its headquarters in Brussels because of a dispute in the level of tax levied by Belgian authorities.